March 2018

Eighteen months ago, in an effort to stamp out corrupt money, the Indian government invalidated high-value banknotes overnight. Citizens and foreign investors alike were startled by the sudden move, which briefly caused confusion and cash shortages.

The decision of Indian stock exchanges to terminate foreign derivative trading was a nasty shock for foreign investors – and a reminder of why this market is known for its uncertain regulatory environment. Indrajit Basu reports.